Refer to Fact Pattern 21-2

question 25

Multiple Choice

Refer to Fact Pattern 21-2. If Eddie is liable under the Securities Ex-change Act of 1934, it will be because the information on which he based his purchase of Fresh Dairy stock was

• A)a forward-looking forecast.
• B)not material.
• C)not yet public.
• D)not yet true.Fact Pattern 21-3 Dhani, an accountant for Eureka! Inc.learns of undisclosed company plan-s to market a new laptop.Dhani buys 1,000 shares of Eureka! stock.He reveals the company plans to Fay, who tells Geoff.Both Fay and Geoff buy 100 shares.Geoff knows that Fay got her information from Dhani.When Eureka! publicly announces its new laptop, Dhani, Fay, and Geoff sell their stock for a profit.

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Definitions:

Oneida

Utopian community founded in 1848; the perfectionist religious group practiced “complex marriage” under leader John Humphrey Noyes.

Zoar

was a communal society established in 1817 by German separatists in Ohio, known for its unique religious beliefs and communal living practices.

New Harmony

A utopian community founded by Robert Owen in 1825 in Indiana, USA, intended as an experiment in communal living and social reform.

Modern Times

A period extending from the late 19th century to the present, characterized by rapid advancements in technology, science, and social organization.